Bernard Durkan (Kildare North, Fine Gael)
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325. To ask the Minister for Jobs, Enterprise and Innovation the extent to which he and his Department have addressed the issue of job relocation from this jurisdiction to other European and non-European locations; and if he will make a statement on the matter. [19005/13]

Richard Bruton (Dublin North Central, Fine Gael)
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Job losses arise in the internationally trading sector of the economy for a variety of reasons including a deterioration in competitiveness, enhanced competition from sister sites, product and technology life cycles, global location rationalisation as a result of mergers and acquisitions, or, an amalgam of these factors. In the majority of cases involving relocation, IDA Ireland’s experience is that the shift is to lower cost emerging economies, with a smaller number of companies relocating to other developed country locations, largely in Eastern Europe. Some of the job losses are due to cyclical factors, however, and will recover. Consequently, in addition to winning new foreign direct investment (FDI), IDA Ireland’s objective is to retain existing clients, improve the quality of employment opportunities in Ireland and secure greater economic impact from such investments.

I am delighted to say that 2012 was a particularly good year for job creation in Agency supported companies, with IDA client companies creating a total of 12,722 gross new full time jobs (6,750 net new jobs). The IDA client base in Ireland now employs 152,785 people, a level last recorded before the global financial crisis began in 2008. IDA Ireland has indicated that, in 2013, investment in key global markets are slowing down, particularly in Europe. There are, however, opportunities for growth in the IT/technology sector, in specific areas of financial services, in life sciences, and in social/digital media. To date, in 2013, IDA Ireland job announcements include: Vistakon - 300 jobs; Ebay - 450 jobs; Facebook - 150 jobs; Yahoo - 200 jobs; FireEye - 100 jobs; Nypro - 200 jobs.

I am mindful that, in order to ensure that Ireland can continue to attract such projects to Ireland, it will be necessary to undertake an in depth analysis of our FDI strategy with a view to informing the formulation of an appropriate strategy for the period post 2014. This analysis, which will be undertaken later this year, will take account of factors such as key trends emerging in FDI best practice internationally, Ireland’s strengths in attracting FDI, any changes to the EU’s State Aid rules that may be introduced in the near future and our agreed approach to regional development.